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Does anything beat buy & hold on Texas Instruments (TXN)?

Every setup we tested on Texas Instruments (TXN) — ranked out-of-sample, corrected for multiple testing, and forward-tracked in public from the day this page published. The honest answer is the headline.

NOTHING BEAT BUY-AND-HOLD

No setup beat simply holding once tested honestly. We say so plainly.

Its best setup trailed buy-and-hold out-of-sample. Buy-and-hold benchmark: +11.8% CAGR over 54.0 years (+19.6% CAGR in the out-of-sample window).

Educational research from historical backtests — not investment advice. Past performance does not predict future results.

TXN: we tested 762 setups and none beat simply holding Texas Instruments

For Texas Instruments (TXN), we ran 762 indicator configurations against a plain buy-and-hold benchmark, and none of them earned the right to replace it. Individual stocks carry idiosyncratic risk — earnings surprises, guidance changes, sector rotation — that indicators built on price history cannot see coming. The best-looking setup, Camarilla Pivots on the daily timeframe, ranked at the top in-sample but delivered an out-of-sample Sharpe of 0.85, short of our hurdle of 0.91. Buy-and-hold returned +11.8% annualized over the test period; the top strategies mostly captured pieces of that same move while adding trading friction.

How to read this honestly: when you test 762 setups and keep the best one, something will always look impressive by chance alone. That is why we require the survivor to clear 0.91 out of sample. Camarilla Pivots managed 0.85, with out-of-sample alpha of -4.4% across 16.2 years and 2,736 trades, and only 0.0% of everything we tested beat the benchmark on unseen data — roughly what luck would produce. None of this predicts anything: the regime that generated these numbers can shift, and single stocks shift faster than most. Treat this page as a record of what failed under honest testing, not a forecast.

Every figure above is computed from our own backtests — nothing is estimated or invented. Hypothetical results; not investment advice.

Failure exhibit

The least-bad setups — shown with their failure numbers

Nothing here earned a verdict — these are the best of a losing field, published so you can see exactly how "best" still failed.

#1 · Mean Reversion · Daily

Camarilla Pivots

Mechanical rule (exactly as backtested): Camarilla S3/R3 levels — buy the stretch below S3, exit back at prior close. Signals are evaluated at daily-bar close, the position changes on the NEXT bar, 0.08% cost per side, long/flat only — no leverage, no shorting.

-99.8%
Total return
-0.32
Sharpe
-100.0%
Max DD
52.9%
Win rate
2,736
Trades
-22.4%
vs B&H

Out-of-sample (last ~30% of the window, never used to pick this setup): Sharpe 0.85 · alpha -4.4% · 896 trades over 16.2 yrs.

#2 · Volume · Daily

Demand Index

Mechanical rule (exactly as backtested): Sibbet's Demand Index (buy vs sell pressure) — long while positive. Signals are evaluated at daily-bar close, the position changes on the NEXT bar, 0.08% cost per side, long/flat only — no leverage, no shorting.

>+999%
Total return
0.3
Sharpe
-93.3%
Max DD
65.4%
Win rate
583
Trades
-7.1%
vs B&H

Out-of-sample (last ~30% of the window, never used to pick this setup): Sharpe 0.83 · alpha -3.5% · 213 trades over 16.2 yrs.

#3 · Trend · Daily

Ichimoku (fast)

Mechanical rule (exactly as backtested): Variant — fast Ichimoku conversion/base (6/13); long while conversion leads. Signals are evaluated at daily-bar close, the position changes on the NEXT bar, 0.08% cost per side, long/flat only — no leverage, no shorting.

+13.2%
Total return
0.13
Sharpe
-96.9%
Max DD
43.2%
Win rate
614
Trades
-11.6%
vs B&H

Out-of-sample (last ~30% of the window, never used to pick this setup): Sharpe 0.8 · alpha -4.9% · 178 trades over 16.2 yrs.

Forward test

Since publication — including if it loses

0.0%
the published setup, since 2026-07-02 (0 market days)
0.0%
buy & hold, same window

The forward record is just getting started — the gap between the two is the honest score. Marked to market nightly from real prices, rules frozen at publication, as of 2026-07-02. Currently LONG.

How this verdict was computed (mode: out-of-sample)

We tested 762 setups (indicator × parameters × timeframe) on Texas Instruments (TXN). Only setups with ≥30 trades qualify (734 did). Setups are ranked by out-of-sample Sharpe — the last ~30% of history, which standard-parameter rules never saw during selection. Because picking the best of 762 tries mines even the holdout, the VALIDATED verdict additionally requires the top setup’s OOS Sharpe to clear a selection hurdle of 0.91 (√(2 ln N)/√T) AND positive alpha in both windows. Of the eligible setups, 0.0% had positive out-of-sample alpha (median OOS Sharpe 0.42) — the table below is truncated, but this summary covers all of them. Full recipe: methodology · the engine’s contract lives in the repo as STRATEGY_METHODOLOGY.md.

Ranked table

Top 20 of 734 eligible setups

Ranked by out-of-sample Sharpe. Full + out-of-sample columns, costs included. Hypothetical.

#SetupTFTotal retSharpeMax DDWinTradesα vs B&HOOS SharpeOOS αOOS trades
1Camarilla PivotsDaily-99.8%-0.32-100.0%52.9%2,736-22.4%0.85-4.4%896
2Demand IndexDaily>+999%0.3-93.3%65.4%583-7.1%0.83-3.5%213
3Ichimoku (fast)Daily+13.2%0.13-96.9%43.2%614-11.6%0.8-4.9%178
4Connors RSI-2Weekly>+999%0.47-48.4%58.3%127-4.3%0.8-9.8%39
5Ehlers Relative VigorWeekly+26.7%0.14-92.9%48.9%237-11.3%0.76-7.0%68
6Chande Kroll StopWeekly>+999%0.32-92.5%42.9%170-6.5%0.75-3.7%39
7Negative Volume IndexDaily+226.8%0.21-86.0%42.9%133-9.6%0.73-2.5%19
8QQEWeekly>+999%0.37-88.6%44.9%167-4.6%0.73-3.0%53
9Relative Vigor IndexWeekly-26.8%0.1-92.3%48.6%214-12.3%0.73-7.6%62
10Median MAWeekly>+999%0.45-78.2%48.7%187-3.9%0.73-8.0%57
11Connors RSIWeekly>+999%0.45-44.4%67.7%133-3.9%0.73-9.9%41
12Ehlers Roofing FilterDaily+905.8%0.29-76.4%48.0%254-7.4%0.72-6.7%77
13Elder-RayWeekly+4.9%0.07-79.7%51.2%217-11.6%0.72-13.2%76
14Fibonacci PivotsDaily-97.7%-0.15-99.9%54.7%2,222-18.6%0.71-7.6%677
15VIDYA 200 TrendDaily>+999%0.35-89.7%21.0%105-5.4%0.7-2.1%13
16SMA 200 TrendWeekly>+999%0.32-84.4%25.0%48-6.5%0.7-4.2%10
17MAMA / FAMAWeekly>+999%0.49-64.3%48.3%60-2.0%0.7-6.5%16
18Stochastic Fast (5,3)Weekly+408.9%0.24-85.7%51.8%367-8.7%0.7-7.3%116
19Rate of ChangeWeekly>+999%0.42-80.6%39.0%164-3.9%0.69-6.7%51
20McGinley 10/30 CrossDaily>+999%0.35-79.5%30.9%110-5.8%0.68-6.1%27

Hypothetical backtests with 0.08%/side costs. Not investment advice — see the full disclaimer.

Read this before acting on anything

These are historical backtests of mechanical rules. They are educational research, not investment advice, not a recommendation, and not tailored to you. Educational information only — not investment advice. Hypothetical backtested results; past performance does not guarantee future results. Trading involves risk of loss.

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